Phoenix #1 With 30,000 New Residents In A Year

The Arizona Republic reports that Phoenix is attracting more new residents than any other city in the nation, according to new US Census Bureau population estimates released today. Gilbert and Chandler are also ranked in the top 10 fastest-growing cities. Phoenix was 39th in growth rate, but the 29,826 new residents gave it the nation's biggest population increase in terms of raw numbers. Climate, a dynamic economy and a great quality of life were cited as reasons people are moving here. The article states that Chandler and Gilbert are also attracting about 1,000 new residents each month. More...

Central Arizona Shows Strong Job Growth

The Phoenix Business Journal reports that as of May 2005, metro Phoenix and Arizona nonfarm employment growth was about 4% for the year to date. That level is expected to continue at near 4% for the next two years. The information was taken from the most current issue of the Arizona Blue Chip Economic Outlook. For the US as a whole, employment growth is only at about 1.5% and is expected to remain under 2% for the foreseeable future, according to Elliott Pollack, editor of the report. "First, relative to other places in the country, we are doing quite well. On the other hand, compared to our own past performance, we may still have some room to improve. Ultimately, as long as the underlying economic fundamentals remain intact in this state, we should enjoy additional years of prosperity," Pollack stated. More...

Goodyear Arizona Approves 1000's Of New Homes

The Arizona Republic reports that Goodyear continues its massive growth spurt with the recent city council approval of several large planned communities. Some of the bigger deals include Canyon Trails, a Centex Homes community at Citrus Road and Cotton Lane that will have 1,057 homes; a new 67-lot subdivision in Estrella Mountain Ranch, a new 199-lot subdivision called Sarival Village at the SW corner of Lower Buckeye Parkway and Village Ave; and a proposed 6,099 lot master plan at Interstate 10 and Perryville Road which is in its very early planning stage. The West Valley continues to be our dominant new home market area. More...

Age Restricted Housing Is Hot In Central Arizona

The Arizona Republic reports that Engle Homes will develop a 1,975-lot, age-restricted community in Estrella mountain Ranch called Providence The development will be built in three phases. The Southwest Valley's population is surging right along with the nation's population of baby boomers, which makes the Southwest Valley and the rest of the Metro Phoenix area a natural fit for such age-restricted communities. The National Association of Home Builders says the fastest growing segment of home buyers is the 50 plus segment, including empty-nesters, pre-retirees and older buyers. Nearly one-fifth of the nation's new homes, or 1.1 million houses, were sold across the nation to people older than 55, according to the most recent figures. Look for more adult communities to spring up across the Valley as the Baby Boomer population grows over the next ten years. More...

Residential Real Estate Market Stays Hot

Residential Real Estate Market Stays Hot As Resales Hold The Lead

The Arizona Republic reports that according to local housing analyst RL Brown, the typical resale home in metro Phoenix now costs more than a new one; $225,000 for the median resale home in May, compared with $220,617 for a new one. The information was from RL Brown's latest Phoenix Housing Market Letter. "When you have lines of people waiting for new homes, some people won't (wait) and some of that demand has spilled over into resale homes," said John Foltz, president of Realty Executives. Investors also drove up the resale prices when they moved into the resale market after builders began banning them or restricting thier purchases. New home permits hit 5,994 in May, up 10 percent from May 2004. The market remains strong. "There's not a sign out there today that say things are cooling off of things are going to go cold or we're going to see a reversal in this marker," RL Brown said. More...

Ritzy New Golf Community

The Phoenix Business Journal reports that the West Valley's first major, million-dollar gold community, Blackstone Country Club, is opening later this year in the Vistancia master-planned community in North Peoria. The gated community will have about 150 lots for million-dollar homes and another 350 lots for high-end production homes starting at nearly $800,000. The community will have a Jim Engh designed 18-hole golf course and a Old-World style clubhouse. Custom lot sales could begin in three to four months. Sales of the production lots could start late this year or early 2006. "I look at all of that (Vistancia) area as more closely resembling North Scottsdale in its terrain and vistas and vegetation than any other part of the region," said housing analyst RL Brown. Vistancia is a 7,100-acre development west of Lake Pleasant Road and north of Happy Valley Road. It is a joint venture between Sunbelt Holdings and Shea Homes. More...

New Home Sales Climb 2%

The Arizona Republic reports that sales of new homes nationwide in May climbed to the second highest level in history, providing further evidence that low mortgage rates are still fueling the booming housing market. Metro Phoenix's new home market slowed slightly in April, according to local housing analyst RL Brown, but overall, new-home permits are up 18.9 percent for the year. "The big key going forward will be what happens to long-term interest rates," said David Seiders, chief economist at the National Association of Home Builders. "I think we will see some modest fade in the numbers for both new and existing homes by the end of the year," he added. New
homes for sale in Central Arizona.
More on this story...

Arizona's Rural Growth Taxing Water Supplies

The Arizona Republic reports that rapid development in rural Arizona areas is threatening those areas water supplies. Arizona's rural population, which doubled to more than 1 million people in the last 25 years, is projected to grow by an additional 500,000 in the next 25 years. The article concentrates on the fact that Rural Arizona is not part of the Active Groundwater Management Area and therefore does not need to meet the assured water supply criteria that urban areas have in place. The result is that many communities have to drill wells to pump water, or have it hauled in. Areas such as Mohave County, Coconino County and Yavapai County have all seen rapid growth, which according to the article is putting a strain on existing groundwater supplies.

Very interesting article that you should read if you are doing business in the rural parts of the state. More...

Developers Target Pinal County

the Arizona Republic, reports that Pivitol Group received approval from the City of Coolidge Planning & Zoning Commission for its 3,200-acre Sandia community, the area's first major master-planned community. The project eventually could have about 11,000 homes. Sandia's first phase will have about 1,200-acres and 4,000 homes selling for an average price of about $175,000. The project will be built around a 35-acre town center that clusters recreation, retail and public spaces. Construction is expected to start before the end of the year. Developers and home builders looking for affordable land and low city fees are targeting Pinal County for new development. The northern part of Pinal County now accounts for more than 28% of the new home permits in Metro Phoenix, according to housing analyst RL Brown. At the end of last year, Pinal had a 17% share of the Metro Phoenix permits. More...

The "Road To Somewhere"

The Arizona Republic reports that with the explosive growth that Buckeye is experiencing, the 30-mile long Sun Valley Parkway has become the "Road to Somewhere". The Sun Valley Parkway was built in the 1980's by several developers in an effort to get development to the area, but the real estate crash of the 1980's put the development of the area on hold. Now the Sun Valley Parkway is the hub for a host of new master-planned communities, including Trillium, a 3,000-acre master plan with 8,000 homes that JF Co's is developing. Buckeye has approved plans for more than 300,000 homes along the Sun Valley Parkway. More...

North East Valley Housing Market

The Arizona Republic Scottsdale edition reports that the overheated North East Valley housing market is showing signs of cooling off a few degrees as indicated by excess homes for sale. Listings rose 4.4% in May from April's numbers, sitting at 2,773. Industry observers say that as listings go up, sales and price increases start to slow. The median sales price in the Scottsdale area market rose 1.6% in May, to $310,000. NE Valley homes were on the market in May for an average of 35.6 days, nearly six days less than in April and a full month less than May 2004. More...

West Valley Home Sales Remain Robust

The Arizona Republic (West Valley) reports that the number of listings in the West Valley market area has risen from 628 in April to 713 in May, and the median price stood at $210,000, up from $190,000 in April. In May it took an average of 24.4 days to sell a home in the W. Valley, compared to 27 days in April. This is still one of the hottest market areas in the Valley, with homes priced under $200,000 becoming harder to find. "At the very low end, the competition is so fierce it's frenzied," said Greg Swann, a Realtor with Bloodhound Home Marketing Group. Buyers are still having to make 5 or 6 offers before they can land a resale home. The article also states that the West Valley is still attracting investors. More...

Residential Real Estate Housing Frenzy May Cool

The Arizona Republic reports that there are early signs that the Valley's biggest home price gains have already played out. In May, the number of homes for sale in the Valley climbed for the first time since fall of last year, a trend that is expected to continue . Buyers now have more houses to choose from, so sellers are getting fewer offers. "When home listings climb, it's a very early sign that the market is slowing," said John Foltz, president of Realty Executives. Propelled by record sales, the median price of an existing Valley home has climbed 40 percent in the past year, and have topped 6% per month for most of this year. In the 1990's, prices took a year to rise that fast. As bidding wars slow, housing prices across the Valley will begin to level out, and it will begin to take longer to sell a home. But real estate analysts don't expect home prices or values to drop. More...

40-Story Loft Tower In Central Phoenix Arizona

The Arizona Republic reports that City Loft Co. is proposing a 40-story loft project on the west side of Central Ave., just south of Highland. The proposed project will be called Metro Lofts and is being proposed due to the big demand for condo and loft housing closer into the city core. Condos are spreading in such areas as downtown Scottsdale, Tempe Town Lake, central Phoenix and the Biltmore area. Marcie Saban, vice president of City Loft Co., states "Lofts are popular. If you keep up with real estate at all, you know it's easy living. We even have people with dogs and kids buying. They can shut the door. There's no maintenance." More...

Developer Optimistic About Condos

The Arizona Republic reports on an interview with Chicago based Optima Inc.'s founder, David Hovey. Optima is developing two major projects in the Valley; the Optima Biltmore Towers and the Optima Camelview Village near Scottsdale Road and Highland Ave. The Optima Biltmore Towers has sold out, even before construction is completed. Hovey states that there is so much interest in building condos because of the demand for an attractive, alternative lifestyle to traditional housing choices, especially in areas of great shopping, restaurants and other cultural activities. He states that condos will always be attractive to young professionals and empty nesters. He predicts that condos will become a substantial component of all housing because it is a simpler, more efficient, more economical way to live. More...

Cities Touting Loop 101 Technology Corridor

The Arizona Republic reports that Scottsdale, Tempe, Chandler and Arizona State University Research Park are jointly marketing what they call a new tech hub, the 101 Science & Technology Corridor, which stretches from the Mayo Clinic in Scottsdale to Intel's Ocotillo campus in South Chandler. Its combined assets include hundreds of tech, research and manufacturing companies, 10 educational institutions and an average household income of $75,000. The cities want the corridor to become nationally known, like Research Triangle Park in North Carolina or Route 128 in Massachusetts. The three cities are marketing the newly christened hub for the first time at the Biotechnology Industry Organization 2005 convention in Philadelphia. This shows the area cities are trying to attract higher-paying tech jobs, which will in turn help their local economies and the demand for housing. More...

Greater Phoenix Blue Chip Forecast

Like the Energizer Bunny, The Valley Of The Sun's single-family real estate market just keeps going and going and going.

After what was a record year in 2003, permits issued in 2004 were up another 20%. While the Blue Chip Forecasts call for a decline of just under 8%, the first quarter numbers are actually up over last year. Indeed, even if the projected decline were to take place, 2005 would be the second best year on record.

While a minor decline in permits is expected in 2006, it would also be an excellent year. Thus the panel does not see any major changes in the Greater Phoenix, Arizona single-family real estate market in the near future. More...

Southern Arizona's Home Prices Soaring

The Yuma Sun reports that Yuma County is also cashing in on the state's housing boom. The average sale price of a home in Yuma County increased by nearly 20% from the first quarter 2004 to the first quarter 2005, according to the Yuma County Assessor's office. "People from San Diego and California come over and buy eight vacant lots or two, three or four small houses at a time,", said Yuma County Assessor Joe Werhle. "Investors are gambling that Yuma home prices will continue to increase,' said Werhle. "A house on the market in general sells in one to three days in the greater Yuma area. In the rest of Yuma County a house can sell between one and ten days," said Werhle, adding that this high turnover rate leaves Yuma with no inventory. More...

Fountain Hills, Arizona Is Changing Its Address

This post has been moved to:
ScottsdaleHomes.com/news/two-comma-town/

Learn more about Fountain Hills real estate and homes for sale here.

Passive Real Estate Ownership

The Arizona Republic reports on a new way to invest in real estate that is becoming popular, "tenants-in-common" investment pools. They combine the tax, income and other benefits of real estate with passive ownership. Tenancy in common is a way to hold real estate in which every investor receives an undivided, fractional interest in a property. Each owner receives title, the ability to depreciate his or her share of the property for tax purposes, income in the form of rents and the potential for appreciation. The key is that the investments are managed by an outside entity, hence the classification as passive, versus active. Tenants-in-common ownership interests are securities, regulated by the Securities and Exchange Commission. Investors receive a disclosure booklet known as a "private placement memorandum" that details the fees and risks, describes the properties and provides other key information. Interesting way to invest in real estate without the management headaches. More...

Central Arizona Housing Market Moving Westward

The Arizona Republic reports that with the Valley's existing industrial corridors grappling with a shortage of real estate and low vacancy rates, experts say West Valley cities are in a prime position to fill some of that growing demand. The Valley's industrial vacancy rate dropped below 8% for the first time in four years during 2005's first quarter, according to CB Richard Ellis. The southwest Valley is the most logical location for the metro area's next major industrial corridor, given the availability of vacant land along Interstate 10 and along the Union Pacific rail line. The Northwest Valley is also looking like a future hot spot with its excellent transportation corridors. More...

United States Housing Market Still Booming

The Arizona Republic reports that new home construction rose 0.2% in May, fueled by low mortgage rates. "We still have a red hot housing market," said David Seiders, chief economist of the National Association of Home Builders. Maricopa County had 5,294 house permits issued in April, down 105 from April 2004. But permits are up 18.9% this year to date. More...

Old Town Scottsdale Land Purchased For Condos

The East Valley Tribune reports that Grace Communities has purchased a 9.7-acre parcel for $17.5 million at Scottsdale Road and Drinkwater and plans to build a 138-unit condo project called Portales Place. The property is next door to the Scottsdale Fashion Square. The condos will range from 1,650 to 4,900 square feet, and will start at $675,000. Grace says it will break ground this year on the $185 million project. The project will have three buildings, each three to five stories, and a 300-space parking structure. More...

Record Paradise Valley Spec Home

The Arizona Republic reports that a spec home that MRA Custom Homes was building in Paradise Valley has sold for a record $11.4 million to Kent Mueller, a high-tech entrepreneur. The old record price was $9.6 million. "Prices are just going to go up," said Walt Danley, the Coldwell Banker agent who listed the Mueller home. "Just the lot value alone is changing every week....It may seem like sticker shock, but when people come over from California to Paradise Valley, they say. 'Look how much value you get for your money.'" More...

Why There Is No Housing Bubble

MSN Money correspondent Jim Jubak's take on the housing bubble talk. Jubak says that with the 10-year Treasury bond yielding below 4% and 30-year mortgages available at 5.1%, there isn't a housing bubble. He states that what we are seeing in the housing markets is monetary inflation. Pure and simple. Economic theory says that when more money chases a limited quantity of goods, the price of those goods increases. So nationally, cheaper money drives up the price of houses--which does lead home builders to increase supply at higher prices. In many markets, adding supply is harder to do. The big caveat is interest rates. As long as they stay low, the boom will continue. If they rise slowly, the market will slow down slowly. If interest rates rise quickly, the bubble can pop, but all indications are that that is not going to occur. Another interesting take on this crazy housing market. More...

Central Arizona's Growth...

Central Arizona's Growth Is The Housing Market's Safety Net

The Arizona Republic also reports on the Blue Chip forecast. It states that as many as 52,475 homes may be built across the Valley during 2005, and 50,325 new homes built Valley-wide in 2006. The market will be sustained by the continued population inflows the Valley is receiving. More...

MINOR Slowdown In Real Estate Market...

The Phoenix Business Journal reports that the Greater Phoenix real estate market is not expected to undergo major changes through next year, according to a survey of experts in the Greater Phoenix Blue Chip Economic Forecast. The Blue Chip calls for new home permits to fall nearly 8% this year. "Even if the projected decline were to take place, 2005 would be the second-best year on record," said Elliott Pollack of the Blue Chip. Pollack sees a "minor decline" in new home permits for 2006. "However, this would also be an excellent year," he added. More...

Valley Alley's Are The Cat's Meow

The Arizona Republic reports on the growing trend of alleys being incorporated into new housing developments in "The Valley Of The Sun", as part of a design movement called New Urbanism. It aims for traditional neighborhoods, with nearby shops and parks, a variety of homes with front porches, and garages built along the alleys. The idea is to create a place where residents can walk or bike to the market and visit with neighbors on the porch or in parks near their homes. The best example of New Urbanism is Verrado in Buckeye, Marley Park in Surprise and Agritopia and Lyon's Gate in Gilbert. More...

Chandler Arizona Condos Unveiled

The Arizona Republic reports that Signature Properties West, LLC submitted plans yesterday to build a 15-story business/residential tower next to Chandler Fashion Square. The 200-foot high-rise would include one floor of retail, three floors of office condo's and 11 floors of residences. Buyers can choose from lofts, luxury condos and penthouses with prices from $300,000 to $4 million, and sized from 766 to 2,885 square feet. The development is to be called Elevation Tower. The project would sit next to the 10-story Renaissance ClubSport Hotel which is expected to break ground in 2007. More...

Investing In Raw Land

The Arizona Republic reports on the pitfalls and risks associated with investing in raw land. Raw land is more speculative than developed properties, and as such are harder to finance and to value. Other problems such as floodplain issues, environmental concerns and water availability face those who invest in raw land. The key is to do your homework and to look for opportunities in the path of growth- and to have the ability to hang on if there is a downturn. The article quotes several Valley real estate players and experts on their take on raw land as an investment. More...

New Homes Price's Rising

The Phoenix Business Journal reports on the continued frenzied pace of our rising home prices and points to buyers willing to pay whatever price is asked to get into a home. Builders are raising prices to slow demand, and because the cost of almost everything that goes into a home, including land, lumber and even fuel costs are rising. "This is the twilight zone", said Fulton Homes President Doug Fulton. "This is the most unusual and strange market." Builders need to stay on top of the situation and continue limiting price increases because that generates fear among prospective buyers that if they don't buy now, they could be forced out of the market by rising prices, Fulton said. Prices of new homes have increased so fast in recent months that some buyers, paying only 5 percent down, "had $100,000 equity the day they closed escrow. It's crazy," Fulton added. More...

Analyst Say "Frenzy" Can Not Continue

The Arizona Republic reports that the existing home sale median price rose to $235,000 in May 2005, up 6.3% from April's median price. "Deep down, everybody knows you can't sustain this pace," said Jay Butler, director of the Real Estate Center at ASU. Driving the market is a strong economy, new jobs, low mortgage rates and investors lured by big gains in home prices. Butler says the Phoenix housing market is in a price bubble, and other analysts are reaching similar conclusions. University of Arizona economist Marshall Vest said housing statewide shows "a lot of characteristics" of a bubble. "Demand far outstrips supply, and the demand side appears to be driven by a frenzy of sorts, by greed," he said. "The frenzy is going to evaporate, and the market will begin to return to somewhat normal. It's not that prices will fall. The rate of the increase will moderate." Housing analyst RL Brown said home-price increases will have to begin to moderate or Metro Phoenix "will go the way of Vegas" and prices will climb too high and have to fall back. But for now, Brown said prices aren't too high because people are still buying Valley homes. More...

Mesa Arizona Parcel Sells For $75.2 Million

The Phoenix Business Journal reports that yesterday's State land auction for a 717 acre parcel of land at McKellips and Ellsworth Roads in Mesa resulted in a $75.2 million winning bid for Phoenix Land Division, LLC. That calculates to $104,881 per acre. The site is zoned for single family homes. This shows the strong demand for residential land in the SE Valley. While land in Phoenix is typically expensive, this deal is a big boost for Mesa. More...

Some Valley Areas May See Prices Decline

The Phoenix Business Journal reports that Dr. Jay Butler stated "There may be some Valley neighborhoods and parts of the Valley that might see some decline in home value." Butler speculated that high-growth areas of the far West Valley and far East Valley that have recently noticed huge mark-ups in home prices are likely to be the first areas to see a pullback in prices. If housing prices do back down dramatically, Butler said it is the outright investor taking the hardest hit. The median home price in the Valley is in the range of $220,000 to $230,000, according to Butler's current research. More...

Federal Reserve Upbeat On Economy

The Arizona Republic reports that Alan Greenspan stated that the economy is on reasonably firm footing and isn't fanning worrisome inflation. Over the past year, the pace of economic activity has "alternatively paused and quickened," an uneven expansion that to a significant degree is related to the impact of gyrating energy prices, Greenspan said. Addressing the red-hot housing market, Greenspan said that while rapidly rising home prices probably won't lead to a national price bubble, there appears to be signs of "froth in some local markets where home prices seem to have risen to unsustainable levels." In addition, Greenspan said that the dramatic increase in interest-only mortgages and the introduction of relatively exotic forms of adjustable-rate mortgages are of concern, stating "the apparent froth in housing may have spilled over into mortgage markets." More...

Interest Only Loans Could Sour Market

The Arizona Republic reports that interest-only loans accounted for more than one in three home loans funded in Arizona during the first three months of 2005. In 2000, only one out of every 100 home loans were interest-only. Some are concerned that these loans could hurt our real estate market if there is a drop in home prices or if appreciation slows. In areas where appreciation on homes is rising rapidly, such as Phoenix, interest-only loans are popular, as buyers try to reduce their payments. The concern is if there is a housing bubble and the affect these loans have on that scenario, "The Valley doesn't have a housing bubble that will explode. It will only deflate some," said Elliott Pollack. He said the demand for housing in the Valley now so far outstrips supply, it will take two years for any price appreciation to slow. More...

Baby Boomers Eyeing Real Estate

The Phoenix Business Journal reports on the Pulte/Del Webb study also. Among those willing to move to a different state during retirement, younger boomers prefer North Carolina, while older boomers prefer Florida. Overall, Arizona scored 12 percent of the vote. Of all respondents, 17 percent estimated they would require savings between $500,000 and $1 million to live comfortably throughout retirement, 15 percent said between $200,000 and $500,000, and 12 percent estimated needing between $1 million and $2 million. More...

Retiring Baby Boomers Plan To Change Homes

The Arizona Republic reports on the 2005 baby boomer survey that Pulte/Del Webb just released. According to the survey, over half of the baby boomers heading into retirement want a new home to retire into. Nearly half of all respondents who will move will stay within three hours of their families. A quarter of non-retired boomers age 41 to 54 say they will retire later than expected because of worries about social security. Travel is the number one retirement activity for all ages. Baby boomers are defined as US adults who are 41 to 59 years old. There are about 77 million boomers in the U.S. More...

Condo Developers Buy Phoenix Site

The Arizona Republic reports that a 6-acre site at the northwest corner of Central and McDowell, sold for $12.83 million to a developer who specializes in condo projects. The buyer included a principal of Boise, Idaho based Kowallis & Mackey, who are developing the Cosmo Tower condo project in Tempe.

"I'm guessing residential condos will go in there, mixed use, but we don't have a plan yet," said John Mackey of Kowallis & Mackey. The firm hopes to have a final plan in two or three months. More...

Cosmo Condo Tower

A controversial 16-story condo project called the Cosmo Condo Tower was approved by the Tempe city council. The development, located near Ash and University Drive, is being developed by Kowallis & Mackey, an Idaho based development company. As part of the approval, the city of Tempe required the developer to include a grocery store at the site. The development will have smaller, pedestrian friendly storefronts in the front, with the condo tower at the rear of the complex.

Tech Firm Moving To The Valley

The Arizona Republic reports that Amkor Technology, Inc., a high-tech manufacturer, is moving its corporate headquarters to Chandler from Philadelphia.

Amkor will be Arizona's 11th largest public company as ranked by revenues. Great news for our local economy and an indication that Phoenix is an attractive place for corporate relocations and expansions. More...

Developer Sets Sites On Valley Market

The Phoenix Business Journal reports that Newland Companies, the San Diego based developer who is buying Estrella Mountain Ranch, is looking to acquire additional land in the Valley for additional developments.

"We are very interested in Phoenix, north, south, east and west," said Newland's Chief Executive Robert McLeod. "Once we get established there (at Estrella Mountain Ranch), I think we're definitely going to be looking at other areas to expand our work there."

McLeod isn't concerned with talk of a housing bubble. McLeod said one critical element of any region's "housing bubble" is an increasing inventory. In metro Phoenix, many builders are controlling their numbers of unsold homes by building just a few homes at a time. The downside is that restricting construction helps push up home prices. "It's our analysis that Phoenix is one of the top three future growth markets in the United States ," McLoed added.

Is This A Bubble?

Is this a bubble or just a little froth?

The East Valley Tribune continues to ask the million dollar question, are we in a housing bubble? According to Elliott Pollack, the local housing market will eventually cool, but not in the near term. "Not in the next year and probably not in the next year after that," Pollack said. Home prices will continue to rise until there is more supply than demand. Right now, builders can't throw up homes fast enough to meet demand. And the bubble may not burst but rather fizzle. The last home sales downturn in the Valley was in 1988-91. "Prices flattened rather than declined," Pollack said.

Tempe Town Lake Developement

There are reports that Tempe has received 10 bids on a 27-acre piece of property north of the Rio Salado Parkway and east of McClintock Drive. Developers are looking at this site for more office and condo development, and possibly a hotel.

The Tempe lakefront property may not go to the highest bidder, Mayor Hugh Hallman said. Each proposal would probably have drastically different components, so it would be hard to make side-by-side comparisons, he said. The Tempe Town Lake area has numerous planned developments in the works, including Hayden Ferry Lakeside, a mixed-use project pegged to get a second big class A office building. The project includes the Edgewater luxury condos. Look for the skyline around Tempe Town Lake to change dramatically over the next few years as these new high-rise developments take shape. More...

Valley Dairy Farm's Move Blocked

A report on the difficulty that Valley dairy farmers are facing due to all the growth.

The article profiles the Caballero Farms dairy operation and their planned move to the Stanfield area on land they purchased a few years ago for $3,500 per acre. But before they could even move to the Stanfield site, the land value soared to $20,000 a acre, and the Caballero Farm decided to sell. Now they are moving their dairy to the Eloy area in a attempt to keep ahead of the development curve.

The land that Caballero owned in Stanfield was sold to MainSpring Capital Group, who plan to develop 2,200 single-family homes on the site at the southwest corner of Kortsen and Stanfield Roads. More...

City North - North Phoenix, Arizona

The East Valley Tribune, reports that City North, a 144-acre urban village, is scheduled to be built just east of the Desert Ridge Marketplace in North Phoenix, Arizona.

Thomas J. Klutznick Co. owns the site and will develop the project in two phases. The development will include more than 1 million square feet of retail space, more than 2 million square feet of office space and more than 1 million square feet of residential space. There is also a planned hotel, cultural, civic and entertainment uses. "It's really intended to be similar to what you see in some Midwestern cities where as you walk down the street you see a lot of different uses in proximity to one another," said Steven Rudolph, Klutznick's vice president.

"We're trying to get more of an urban feel here by going multi-level and I think you'll see certainly buildings that are four levels high and we have the rights to do several buildings of eight stories," he said. The first phase will start construction late this year and open in late 2007. Phase one will have 450,000 square feet of retail, 800,000 square feet of office and about 400 housing units. More...

Arizona: Expected To Continue Rapid Growth

The Arizona Republic reports that Arizona's population is showing no signs of slowing down. With the expected in-migration and birth rate, the result will be a state population approaching 11 million by 2030, according to a U.S. Census Bureau analysis in the current issue of the Arizona Blue Chip Economic Forecast. "By 2030, Arizona will become solidly established as the 10th largest state, bigger in population than Michigan and closing ground on Ohio," said Lee McPheters of the Arizona Blue Chip. McPheters called the past 25 years a "warm-up" period for the growth yet to come . Arizona's population is projected to increase by 109 percent between 2000 and 2030, which translates into a 5.6 million increase in population during that time. The number of persons 65 and older will increase by 1.7 million. More...

Home Prices Up 12.5% In A Year

Nationwide, home prices are up 12.5% in year...

USA TODAY's Web site has a table that shows home appreciating rates for each state for the last year, the last quarter, the last five years and since 1980. The article states that Arizona had the most rapid growth in the first quarter of 2005. Arizona is expected to continue this rapid growth for the foreseeable future. More...

South Scottsdale Condo Project - Toll Brothers

The Phoenix Business Journal reports that Toll Brothers has purchased the Residences on Main in South Scottsdale, a development of 62 townhomes and 96 condominiums at 6833 E. Main Street in Scottsdale. The property was purchased from Arizont Investments LLC for $19.2 million. The new development will be Toll Bros. first "City Living" division project in Arizona. The six story development will feature two and three story residences on the upper floors and retail and commercial uses on the first floor. Sales will begin this fall. Details on pricing have not been released. More...

Housing Even More Affordable Now

The Arizona Republic reports that low interest rates and rising incomes have made houses more affordable than they were 10 years ago, suggesting talk of a national real estate bubble may be exaggerated, a study by the Federal Reserve Bank of Chicago said. It took less than 16 percent of the median household's income to cover the monthly mortgage payment of a home with the median sale price last year, the study states. That compares with 20 percent in the mid 1980's and 18 percent in the early 1990's. But Fed Chairman Alan Greenspan states, "It's pretty clear that it's an unsustainable underlying pattern. People are reaching to be able to pay the prices to be able to move into a home. While we don't perceive that there is a national bubble, it's not hard to see that there are a lot of local bubbles." More...